Define the gropus of profit maximisation criterion, Financial Management

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Define the gropus of Profit maximisation criterion

Profit maximisation criterion has, though, been questioned and criticized on several grounds. Reasons for the opposition in academic literature all into two broad groups:

(i) those which are based on misapprehensions about the workability and fairness of private enterprise itself, and

(ii) those which arise out of the difficulty of applying this criterion management, refers to an explicit operational guide for internal investment and financing of a firm and not overall goal of business operations.


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